EXHIBIT (99)
EASTGROUP PROPERTIES
NEWS RELEASE
FOR MORE INFORMATION, CONTACT:
David H. Hoster II, President and Chief Executive Officer
N. Keith McKey, Chief Financial Officer
(601) 354-3555
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EASTGROUP PROPERTIES ANNOUNCES THE SALE OF
800,000 SHARES OF COMMON STOCK
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JACKSON, MISSISSIPPI, March 28, 2005 -- EastGroup Properties, Inc. (NYSE-EGP)
announced today that it has agreed to sell 800,000 shares of common stock to
Citigroup Global Markets Inc. The Company intends to use the net proceeds of
approximately $29.5 million towards the acquisition or development of properties
and to repay a portion of mortgage debt obligations due in 2005.
EastGroup Properties, Inc. has granted the underwriter a thirty-day option to
purchase up to 120,000 additional shares to cover over-allotments, if any.
Citigroup Global Markets Inc. acted as sole book running manager for the
offering. This communication shall not constitute an offer to sell nor shall
there be any sale of these securities in any state or other jurisdiction in
which such offer, solicitation or sale would be unlawful prior to the
registration on qualification under the securities laws of any such state or
other jurisdiction. A copy of the prospectus relating to these securities may be
obtained, when available, from Citigroup Global Markets Inc., Attn: Prospectus
Department, Brooklyn Army Terminal, 140 58th Street, 8th Floor, Brooklyn, NY
11220.
EastGroup Properties, Inc. is a self-administered equity real estate investment
trust focused on the development, acquisition and operation of industrial
properties in major Sunbelt markets throughout the United States with special
emphasis in the states of Arizona, California, Florida and Texas. Its strategy
for growth is based on its property portfolio orientation toward premier
business distribution facilities clustered near major transportation features.
EastGroup's portfolio currently includes 21 million square feet with an
additional 584,000 square feet of properties under development.
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P. O. Box 22728 Jackson, MS 39225-2728
Tel.: 601-354-3555-Fax: 601-352-1441
Certain statements in this release are forward-looking and as such are based
upon the Company's current belief as to the outcome and timing of future events.
There can be no assurance that future developments affecting the Company will be
those anticipated by the Company. These forward-looking statements involve risks
and uncertainties (some of which are beyond the control of the Company) and are
subject to change based upon various factors, including but not limited to the
following risks and uncertainties: changes in the real estate industry and in
performance of the financial markets; the demand for and market acceptance of
the Company's properties for rental purposes; the amount and growth of the
Company's expenses; tenant financial difficulties; and general economic
conditions, including interest rates, as well as economic conditions in those
areas where the Company owns properties, the risks associated with the
development of real property, and other risks and uncertainties detailed from
time to time in the Company's SEC filings. Should one or more of these risks or
uncertainties occur, or should underlying assumptions prove incorrect, the
Company's results could differ materially from those expressed in the
forward-looking statements.
EastGroup Properties, Inc. press releases are available at www.eastgroup.net.
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P.O. BOX 22728 JACKSON, MS 39225-2728
TEL: 601-354-3555 FAX: 601-352-1441